Broward County Commission Regular Meeting


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AI-28833 2.       
Meeting Date: 05/21/2019  
Director's Name: Mark Gale
Department: Aviation Division: Business

Information
Requested Action
MOTION TO APPROVE Terminal Building Lease Agreement between Broward County and Menzies Aviation (USA) Inc., for the lease and use of 545 square feet of operations space in Terminal 1, Concourse C, 137 square feet of hallway space in Terminal 1, Concourse C, and 265 square feet of office space in Terminal 4, Departure Level, at Broward County's Fort Lauderdale-Hollywood International Airport, commencing June 4, 2019, and terminating June 3, 2024; and authorize the Mayor and Clerk to execute.

ACTION:  (T-10:33 AM)  Approved.

VOTE:  9-0.
Why Action is Necessary
Chapter 2, Section 2-40(a) of the Broward County Code of Ordinances requires that the Broward County Board of County Commissioners ("Board") authorize any commercial activities or the occupation of space at Broward County's Fort Lauderdale-Hollywood International Airport ("FLL").
What Action Accomplishes
Approves the Terminal Building Lease Agreement ("TBLA") between Broward County ("County") and Menzies Aviation (USA) Inc., ("Menzies") to lease space in Terminal 1 and Terminal 4, in accordance with the provisions of the TBLA, which establishes the payment of rent for the leased space at FLL.
Is this Action Goal Related
Previous Action Taken
None.
Summary Explanation/Background
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.

This action approves the TBLA between the County and Menzies to lease space in Terminal 1 and Terminal 4 in accordance with the provisions of the TBLA, which establishes the payment of rent for the leased space at FLL.

On October 28, 2014 (Item No. 4), the Board approved a TBLA between the County and Menzies to lease and use space in Terminal 1 to provide ground handling services to various airlines at FLL. The current TBLA expires on June 3, 2019.

The proposed TBLA allows Menzies to lease 545 square feet of operations space in Terminal 1, Concourse C, 137 square feet of hallway space in Terminal 1, Concourse C, and 265 square feet of office space in Terminal 4, Departure Level, at FLL. Menzies has expanded ground handling operational services at FLL, and therefore, will require additional office space to provide services to the airlines in Terminal 4.

Menzies has posted a security deposit in the amount of $47,475, which is the estimated amount of three months' rent, as determined by the Broward County Aviation Department ("BCAD") per Article 6 in the TBLA. The term of this Agreement shall commence on June 4, 2019, and terminate on June 3, 2024.

Menzies payments will be based on the actual amount payable under the proposed TBLA and will be adjusted according to the rates and charges established in Chapter 39 of the Broward County Administrative Code.

The proposed TBLA has been reviewed and approved as to form by the Office of the County Attorney and the Risk Management Division.
Source of Additional Information
Mark E. Gale, A.A.E, CEO/Director of Aviation, (954) 359-6199

Fiscal Impact
Fiscal Impact/Cost Summary:
The estimated annual rent for the first lease year is $178,000, plus applicable taxes, and will be adjusted annually according to Chapter 39 of the Broward County Administrative Code.
Attachments
Exhibit 1 - Agreement Summary
Exhibit 2 - Agreement


    

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